Rare earth stocks rose on Tuesday. USA Rare Earth up 12%; American Resources up 7%; The Metals up 3%; MP Materials up 1%.

The US is in talks to set up a $5 billion fund to invest in mining, in what would be the government’s most significant foray into dealmaking to boost supplies of critical minerals.

The US International Development Finance Corp. is in discussions to establish the fund as a joint venture with New York-based investment firm Orion Resource Partners, according to people familiar with the matter, who asked not to be identified because the talks are private. Key details are still being negotiated, and there’s no certainty a deal will be agreed, they said.

Trump has touted the prospect of minerals deals in Ukraine and Greenland, while the White House is also keen to promote US investment into the Democratic Republic of Congo’s mining industry. But the joint fund with Orion, if it is finalized, would provide a new avenue for the US government to engage in large-scale deals itself.

The Trump administration has made it a priority to shore up access to critical minerals such as copper, cobalt and rare earths. The logic behind the potential collaboration between the DFC and Orion is widespread anxiety about supply.

In the near term, concerns are fixed on China, which processes the bulk of a wide range of minerals from copper to antimony, while Chinese companies continue to snap up overseas mining assets to feed facilities at home. In the longer run, deep shortages are forecast for some metals due to insufficient investment, declining grades and protracted permitting processes.